Board Converting News, May 17, 2021

Avoiding Penalties (CONT’D FROM PAGE 18)

AIR CONVEYING CORPORATION is a recognized leader in the industry of Pneumatic Conveying Systems and has been in business since 1968. As an equipment manufacturer rather than simply a sales organization, we have complete control over the quality of material and products which make up your proposed system. Our equipment is found in Printing, Folding Carton and Corrugated plants throughout the country and the world.

for a few minutes—maybe they check their emails over dinner or make a phone call or two—and the employer thinks that’s okay.” In fact, employees must be compensated for all time worked, even if off the clock labor violates company pol- icy, says Lambert. Employers who wish to discipline em- ployees who put in extra time without permission must use nonfinancial procedures such as verbal and written warnings, personnel file notations, or terminations if ap- propriate. Independent Contractors Employers are not obligated to pay overtime to inde- pendent contractors. Just who qualifies for that status, however, is not always clear. “Distinguishing between em- ployee and independent contractor status is an ongoing challenge,” says Heerde. “Because states have different standards from the federal government about where to draw the line, compliance and enforcement issues arise.” Individuals classified as independent contractors will sometimes later file complaints claiming that they were actually employees and are due back overtime. This can lead to costly litigation. Wage and hour attorneys expect the federal and state governments to tighten the standards which determine who is in business for themselves. “I think the Biden admin-

AIR CONVEYING CORPORATION PH: 901-454-5016 FAX: 901-324-7979 e-mail: •


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May 17, 2021

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